Consider the following common-size data for the Yvonne Co:: Based on this data, which of the following statements MUST be true? Inventory as a percentage of total assets has declined from 2020 to 2021. Inventory as a percentage of total sales has declined from 2020 to 2021. The dollar amount of inventory has declined from 2020 to 2021. A firm is experiencing an Accounts Receivable Turnover (ARTO) that is abnormally high relative to the industry benchmark and historical trends. Which of the following best explains the reason for the increase in ARTO? The firm is collecting on its receivables very quickly. Average accounts receivable on the balance sheet is increasing. The firm is extending too much credit to customers. The firm is collecting on its recelvables very slowly. Two companies have the same total sales, but different book values for fixed assets. Company OLD has average fixed assets that are 20 years old. Company NEW has fixed assets that are on average, 5 years old. Holding other factors constant, which company would tend to be viewed more favorably based upon comparison of the fixed asset turnover (FATO) for each company? Company OLD because it deserves more respect for being in business longer. Company NEW because it has state-of-the-art production facilities. Company NEW because it will show a higher FATO due to price inflation over the years. Company OLD because it will show a higher FATO due to price inflation over the years. Consider the following information for the Hughes Company: - Net profit margin for ROCE=6%. - Total asset turnover =150%. - Financial Leverage ratio =100%. Retum on Common Equity (ROCE) is closest to? Need more information 12% 15% 9%